Top experts and select companies traveled to Colorado last week for a pair of conferences focused on the survivors in the natural resource mining sector. The Gold Report reached out to some of the discerning voices there and asked whether the barrage of headlines from the Federal Reserve and China impacted the mood, and what companies they would be following up on when they returned to their offices. While the Precious Metals Summit was geared toward development-stage companies and the Denver Gold Forum was mostly populated by large, producing mining companies, everyone seemed fixated on survival. For those of us watching from home, experts we talked to were kind enough to name some of the standout companies they saw in boothland.
Institutional Investment Advisor Jayant Bhandari found both the Precious Metals Summit in Beaver Creek and the Denver Gold Forum useful. “While I follow and invest in junior mining companies, historically, my interest in big miners has been to get a feel for what kinds of projects miners look for, so that I could attune my investment decisions in junior mining companies accordingly. This is no longer the case. As is obvious to anyone who looks closely at the major gold mining companies, the longer it takes for the gold price to recover, the more their balance sheets will get damaged. They do not offer me enough margin of safety any more. Indeed, most of them are no longer capable of buying projects from junior mining companies. That is why right now the junior mining companies are more attractive. Their projects will likely be bought and put into production by entrepreneurial businessmen,” he said.
Chen Lin, author of the investing newsletter What Is Chen Buying? What Is Chen Selling?, saw the smaller crowds this year as …read more